Business and Earnings Performance

Capri Global Capital Limited (CGCL) announced its unaudited financial results for the quarter ended June 30, 2026 (1QFY27), which were subject to a limited review report by the Joint Statutory Auditors.

Assets Under Management (AuM):

  • Consolidated AuM reached ₹40,112 crores, up 62.0% YoY from ₹24,755 crores in 1QFY26 and up 9.5% QoQ from ₹36,623 crores in 4QFY26.
  • Gold Loans AuM: ₹19,179 crores, up 110.6% YoY and 13.1% QoQ
  • MSME Loans AuM: ₹6,779 crores, up 23.7% YoY and 4.5% QoQ
  • Affordable Housing AuM: ₹7,815 crores, up 42.3% YoY and 4.9% QoQ
  • Construction Finance AuM: ₹6,332 crores, up 40.1% YoY and 10.9% QoQ
  • The company serves over 7.6 lakh customers through 1,433 branches with 13,700+ employees.

Financial Performance:

  • Net Interest Income: ₹736 crores, up 78.5% YoY and 23.6% QoQ
  • Non-Interest Income: ₹217 crores, up 28.2% YoY but down 12.1% QoQ
  • Net Total Income: ₹953 crores, up 63.9% YoY and 13.2% QoQ
  • Operating Expense: ₹421 crores, up 55.9% YoY and 1.3% QoQ
  • Operating Profit: ₹532 crores, up 70.8% YoY and 24.8% QoQ
  • Profit After Tax: ₹353 crores, up 102.0% YoY and 25.0% QoQ

Profitability and Efficiency Metrics:

  • Spread on advances: 7.8% (up 110 bps YoY and 76 bps QoQ)
  • Cost-to-income ratio: 44.2% (improved 227 bps YoY and 521 bps QoQ)
  • Operating Profit Margin: 5.5% (up 31 bps YoY and 46 bps QoQ)
  • Return on Average Assets (RoAA): 4.1% (up 91 bps YoY and 32 bps QoQ)
  • Return on Average Equity (RoAE): 19.1% (up 612 bps YoY and 316 bps QoQ)
  • Basic EPS (not annualized): ₹3.67 (up 79.2% YoY and 25.0% QoQ)
  • Book Value Per Share: ₹78.6 (up 17.4% YoY and 5.0% QoQ)

Non-Interest Income Breakdown:

  • Insurance distribution business generated net fee income of ₹42 crores, up 66% YoY
  • Car loan distribution net income grew to ₹32 crores, up 37% YoY
  • Income from off-book stood at ₹65 crores for the quarter
  • Share of off-book at 20% of the AuM

Asset Quality:

  • Gross Stage 3 Ratio: 1.1% (improved 61 bps YoY but increased 14 bps QoQ)
  • Provision Coverage Ratio (on Stage-3): 43.2% (improved 228 bps YoY and 205 bps QoQ)
  • Impairment costs for the quarter: ₹62 crores, annualized at 0.8% of gross loan book

Capital Position and Liquidity:

  • Standalone CRAR: 24.7% (down 982 bps YoY and 119 bps QoQ)
  • Consolidated total equity: ₹7,565 crores, up 18% YoY
  • Borrowings: ₹27,630 crores, up 73% YoY
  • Debt/equity ratio: 3.7x

Management Commentary:

Managing Director Mr. Rajesh Sharma stated that the company delivered strong performance with healthy AuM growth across key lending segments supported by a diversified and fully secured retail portfolio. Profitability accelerated due to improving margins from higher share of high-yield products, steady growth in fee income, and continued improvement in cost efficiency. Asset quality remained under control despite macroeconomic challenges and market volatility.

Revised Guidance:

The company revised its long-term guidance, now targeting:

  • AuM of ₹650 billion with 30%+ CAGR by FY28
  • Consistent RoAE of 19%-21%
  • Consistent RoAA of 4.2%-4.7%

Business Segments:

CGCL operates as a non-deposit taking systemically important NBFC (NBFC-ND-SI) with four primary lending segments: Gold Loans, MSME Loans, Construction Finance, and Housing Loans (through subsidiary Capri Global Housing Finance Limited). The company also has fee-based businesses including insurance distribution and car loan distribution through subsidiary Capri Loans Car Platform Private Limited.